Current Location:Home > CHINA AUTO POLICY >

Halting Beijing VI is a wise move by the central government

Date:05-13 18:28 Source:auto.sohu.com Authour:Cui Dongshu

Automakers, especially those of Chinese auto brands, would have been the agonized victims of “Beijing VI”. Characterized by low profits and strict cost control, these companies are reluctant to spend unnecessary fees on qualification. They would rather enter the Beijing market after the entry into force of “China VI”. This gap in product supply would put their dealers at a disadvantage compared to those of joint ventures, risking the collapse of their dealership system and a consequent loss of market share. Thus, such a policy would be very unfavorable to Chinese auto brands.

Halting Beijing VI is a wise move by the central government

Harmonization of “China VI” and “Beijing VI” will

contribute to the formation of a unified market.

The Ministry of Environmental Protection (the MEP) has confirmed that it is stepping up its efforts to develop the sixth-stage “China VI” automobile emission standards, bringing to an official close “Beijing VI”, a local automobile emission standard drafted by Beijing municipal government. There have been conflicts between the national and local standards for “China VI”, drafted under the lead of the MEP, which is based on European emission standards, while “Beijing VI” was formulated with reference to the regulations and documents of Tier 3 emission standards in California.

Because automobiles operating to the “China V” feature extremely low pollution and there are not high numbers of them in circulation, the early introduction of Euro 6 emission standard at local levels will not significantly improve local air quality.

In 2015, the MEP suggested that local governments refrain from introducing Euro 6 emission standards in 2016. Instead, they should wait to see if there are any directional changes to “China VI” and if any improvement measures are added in China to the standard for European emission tests.

Harmonization of “China VI” and “Beijing VI” will save manufacturers a lot of energy and investment in R&D, reduce spending on ineffective inspections and tests and other social waste, and contribute to the formation of a unified market.

If “Beijing VI” had been implemented independently without reference to the national standard, tens of thousands of auto models would have had to be upgraded, resulting in billions spent on inspections and testing costs by automakers - a huge waste of money.

If local governments insist on putting forward short-lived standards while the central government acts slowly on the launching of a new standard, a lot of vehicle models will have to repeat similar inspections and tests, such as the durability test.

Automakers, especially those of Chinese auto brands, would have been the agonized victims of “Beijing VI”. Characterized by low profits and strict cost control, these companies are reluctant to spend unnecessary fees on qualification. They would rather enter the Beijing market after the entry into force of “China VI”. This gap in product supply would put their dealers at a disadvantage compared to those of joint ventures, risking the collapse of their dealership system and a consequent loss of market share. Thus, such a policy would be very unfavorable to Chinese auto brands.

Beijing has to wait for the introduction of “China VI”. According to the timetable previously issued by the MEP, the national standard will be finalized before the end of 2016 and will be enforced as of December 2017, leaving only a one year gap for auto manufacturers. The MEP is also looking forward to earlier enactment of “China VI”. There will be a two-year grace period between issuing and implementing the new standard, so that domestic automakers are better able to respond.


©copyright 2015 autochina.comnews.cn